SCEG OATT Formula Transmission Rate Filing.pdf - SCANA ...

20091231-0037 FERC PDF (Unofficia1) 12/29/2009
Direct Testimony of Charles A. White
Docket ERI O-~-OOO
Page 8 ofl7
Exhibit No. SCE-6
I Q.
DID GRIDSOUTH EVER BECOME OPERATIONAL?
2 A.
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II
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IS
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No. In November 2001, the FERC announced the establishment of state-federal regional
panels to address RTO and seams issues and reflect state interests affected by RTO
developments following the issuance of Order No. 2000. The panels convened during the
winter and early spring 2002 and preceded the issuance of the FERC's standard market
design NOPR in July 2002. During summer 2002, the Southeastern state commissions
announced that they would undertake an analysis of the costs and benefits of forming
three RTOs (including GridSouth) in the Southeast (SEARUC Study). In light of the
SMD NOPR issuance and the announcement of the SEARUC Study, the GridSouth
Sponsors decided to postpone filing applications with their respective state commissions
for approval of the transfer of operational control of their transmission systems to
GridSouth. The Sponsors also decided to take steps to mitigate the costs of continuing
operations associated with the GridSouth implementation project. However, the
Sponsors tried to balance their cost mitigation efforts with efforts to preserve the progress
on implementing GridSouth that had been achieved to that point so that there would be a
cost effective and orderly means by which to restart GridSouth when and if all regulatory
approvals were obtained.
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The SEARUC Study was issued November 6, 2002 and the FERC issued a "White
Paper" subsequent to the SMD NOPR in April 2003. The GridSouth Sponsors filed
comments in the SMD NOPR, White Paper, and the SEARUC Study as well as provided
technical data and assistance to the consultants who prepared the SEARUC Study. The
GridSouth Sponsors discussed the issues presented in all three documents with state